Bye-laws in a Cooperative Housing Society (CHS) are the foundational rules that govern the society’s structure, operations, and relationships among members. These bye-laws are originally framed at the time of society registration and are based on the Model Bye-laws issued by the Registrar of Cooperative Societies. They are legally binding on all members and provide a structured approach to handle society administration, finance, disputes, and member rights.
The formation of bye-laws begins during the registration process of a CHS. A group of at least ten eligible members must agree to form a society and submit their application along with a draft of the bye-laws. These bye-laws must be in accordance with the Maharashtra Cooperative Societies Act, 1960, and the latest model bye-laws issued by the registrar. Once approved by the registrar, the bye-laws become the society’s official rulebook.
However, societies often find the need to amend their bye-laws over time—due to changes in law, administrative needs, or member demands. For instance, legal updates like RERA compliance or changes in financial handling may require a revision in existing bye-laws. In such cases, the society must follow a defined legal process to make the amendments valid and enforceable.
To amend the bye-laws, the managing committee must first draft the proposed changes. These changes are then presented in a General Body Meeting (GBM), where a special resolution must be passed by at least two-thirds of the members present and eligible to vote. The notice for this GBM must clearly mention the intention to amend the bye-laws and share a copy of the proposed changes with all members in advance.
Once the resolution is passed in the GBM, the society must apply to the Registrar of Cooperative Societies for approval. This application should include a certified copy of the resolution, the revised bye-laws, and necessary documentation. The registrar will examine the proposed changes and, if found to be lawful and in the interest of the society, will register the amended bye-laws.
It is important to note that until the registrar approves and registers the new bye-laws, the previous version remains in force. Any changes made without following this legal process are not valid and cannot be enforced on members. Hence, legal compliance and transparency are essential throughout the amendment procedure.
In conclusion, while forming bye-laws is a one-time process during society registration, amending them is a dynamic process that requires legal due diligence, member participation, and registrar approval. Properly formed and legally amended bye-laws ensure that the society remains aligned with modern governance practices and evolving member needs.
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